Alibaba Stock (BABA) Could Outshine the Market in 2025

Chinese e-commerce giant Alibaba (BABA) stock has a “Perfect 10” Smart Score on TipRanks, which implies that the stock has the potential to outperform the market. It is worth highlighting that BABA stock has risen over 54% in the past year, surpassing the S&P 500’s (SPX) nearly 3% gain. Also, Wall Street sees over 40% upside in Alibaba stock from current levels.

Before we continue, let’s take a moment to understand how TipRanks calculates a Smart Score for stocks. Based on eight key market factors, including analyst ratings, and technical analysis, among others, the potential of a stock is evaluated. After considering these factors, a Smart Score between 1 and 10 is assigned to the stock, with 10 being the highest score.

Alibaba’s Top Smart Score 

Interestingly, Alibaba stock has received a “Perfect 10” Smart Score, meeting seven out of eight key parameters. The stock has received a positive signal from hedge funds, with data showing that hedge funds bought about 5.7 million shares of the company in the last quarter. The stock also enjoys bullish Blogger sentiment and Positive News Sentiment on TipRanks.

Furthermore, Alibaba’s Strong Buy consensus rating on TipRanks is another factor supporting its top Smart Score. It is worth highlighting that several Top-rated analysts reiterated their Buy ratings on the stock after the company reported its Q4 results for Fiscal 2025 last month.

Among the bullish analysts, Morgan Stanley analyst Gary Yu reiterated an Overweight rating on the stock and kept his price target at $180 post Q4 earnings. He believes that Alibaba’s cloud will remain a central part of the company’s growth strategy, especially as AI use expands rapidly across China. Further, Yu expects customer management revenue to keep rising at a strong pace, helped by better take rates.

Meanwhile, Macquarie analyst Ellie Jiang also maintained her Outperform rating and $187.50 price target on Alibaba stock. She sees rising demand for Alibaba’s AI tools—especially from large companies—boosting cloud revenue in the next few quarters. Jiang also noted that Alibaba’s three-year AI spending plan is on track, showing the firm’s steady push toward long-term growth in cloud and AI.

Is Alibaba Stock a Good Buy Right Now? 

Analysts remain highly bullish about Alibaba’s stock trajectory. With 12 unanimous Buy ratings, BABA stock commands a Strong Buy consensus rating on TipRanks. Also, the average Alibaba price target of $166 implies 42.34% upside potential from current levels.

See more BABA analyst ratings